Ted Cowan - Page 7

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          failure was "due to reasonable cause".  "Willful neglect" has               
          been interpreted to mean a conscious, intentional failure, or               
          reckless indifference.  United States v. Boyle, 469 U.S. 241,               
          245-246 (1985).  "Reasonable cause" requires the taxpayer to                
          demonstrate that he exercised ordinary business care and prudence           
          and was nonetheless unable to file a return within the prescribed           
          time.  Id. at 246; sec. 301.6651-1(c)(1), Proced. and Admin.                
          Regs.  The addition to tax equals 5 percent of the tax required             
          to be shown on the return for the first month, with an additional           
          5 percent for each additional month or fraction of a month during           
          which the failure to file continues, not to exceed a maximum of             
          25 percent.  Sec. 6651(a)(1).                                               
               Petitioner presented no evidence of reasonable cause or any            
          evidence of attempts made to comply with the law respecting the             
          timely filing of returns.  Accordingly, respondent's                        
          determination with respect to the addition to tax under section             
          6651(a) is sustained.                                                       
               To reflect the foregoing,                                              


                                                  Decision will be entered            
                                                  under Rule 155.                     











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